Nifty Bank Slides 339 Points as RBI CRR Hike Sours Banks

Sensex slid 548 points, while the Nifty 50 fell 157 points on Monday, mirroring the 339‑point drop in the Nifty Bank index as banks digested the RBI’s latest CRR tweak.

BSE‑listed banks, led by ICICI Bank and Kotak Mahindra Bank, saw share prices drop 1.2% and 1.5% respectively, after the RBI announced a 4.5% CRR for large corporates effective May 15. The move contributed to the 339‑point slide in the Nifty Bank, outpacing the 2‑point gain in the mid‑cap index.

Hospital stocks plunged in the last hour as the Supreme Court set a hearing on drug‑pricing regulations, with TCS’s pharma arm falling 3.7% and Lenskart dropping 4.2% after a sizable block trade, dragging the broader Nifty 50 lower.

Brent crude climbed to $106 per barrel, the highest in six months, rattling crude‑sensitive stocks. IndusInd Bank and Asian Paints slid 1.1% and 1.0% respectively, while the energy‑sector index fell 0.8%.

The rupee gained 1.2% against the dollar, reaching 95.75, supporting domestic equities. Traders now focus on the RBI’s policy meeting on Friday and the Supreme Court’s drug‑pricing verdict on June 15, anticipating a rebound in the bank sector once CRR uncertainty clears.